This member has provided no bio about themself...
You're not interested in books? What a shame!
Nope. They don't own anything. They have it licensed to them from "Middle Earth Enterprises" a company owned by Saul Zaentz. The actual copyright and intellectual property of the books is still in the hands of the Tolkien family.
Something was lost in the movies. But they are awesome movies!
Just give them a middle finger response. They have movie rights and game rights licenced to them for Tolkien's work but that doesn't mean they own it wholesale. They can't stop you from making a non profit mod because you were inspired by a book you read. If they had any sense they'd hire you and make you do all the work making a good game as opposed to the rubbish ones they've released with the "Intellectual property." Keep at it until Christopher Tolkien personally sends you a cease and desist.